Buying a vehicle has become a significant expense, whether you are purchasing a brand new car or a used vehicle. As prices continue to rise, some buyers may look for less expensive options, including vehicles with salvage or rebuilt titles.
A vehicle with a salvage or rebuilt title can sometimes be purchased for substantially less than a similar vehicle with a clean title. That lower price can be appealing, but it is important to understand why the vehicle received its title and what repairs were performed before deciding whether it is right for you.
While Fleschner, Stark, Tanoos & Newlin does not handle claims involving title disputes or changes in vehicle title status, we believe it is important for drivers to understand the potential safety concerns associated with purchasing a vehicle with a salvage or rebuilt title.
Before purchasing a vehicle with anything other than a clean title, it is important to understand what the different title designations mean.
Clean title: A clean title generally indicates that the vehicle has not been designated as a salvage vehicle. A vehicle can still have been involved in an accident, undergone repairs, or experienced other issues without necessarily receiving a salvage title.
Salvage title: A vehicle generally receives a salvage title after it has sustained significant damage and has been declared a total loss. The extent of the damage can vary considerably. Some totaled vehicles may have extensive structural damage, while others may appear relatively intact but have sustained enough damage that the cost of repairs was considered too high compared with the vehicle’s value.
Rebuilt title: A salvage vehicle may be repaired and restored rather than scrapped. Once it has undergone the required inspection and title process, it may receive a rebuilt title, depending on state requirements.
As attorney Caleb Fleschner explains:
“A rebuilt title does not automatically mean a vehicle is unsafe, but it does mean buyers should take a closer look at the vehicle’s history and repairs. Knowing what caused the original damage and how that damage was repaired can be just as important as the vehicle’s current appearance.”
Modern vehicles are designed with numerous safety systems and structural components intended to protect occupants during a crash. When a vehicle has been seriously damaged, however, those components may not function as originally designed if they were improperly repaired or replaced.
A salvage or rebuilt title does not necessarily mean a vehicle is dangerous or incapable of being safely driven.
Some vehicles may receive salvage titles after sustaining damage that can be properly repaired. In other situations, the damage may have been primarily cosmetic. A properly repaired vehicle with a rebuilt title may provide reliable transportation at a lower purchase price than a comparable vehicle with a clean title.
The concern is that a buyer may not always know the full extent of the vehicle’s previous damage or the quality of the repairs.
Damage involving the frame, airbags, seat belts, suspension, steering system, electrical components, or other safety systems can be particularly important. Repairs that make a vehicle look good on the outside do not necessarily mean that all of its safety systems have been properly restored.
If you are considering purchasing a vehicle with a salvage or rebuilt title, take time to investigate its history before making a decision.
Ask for the vehicle identification number, or VIN, and obtain a vehicle history report. Look for information about:
A history report may not contain every detail about a vehicle’s past, so it should not be the only source of information you rely upon.
If the vehicle was previously damaged, ask the seller for documentation showing what repairs were performed.
Receipts, photographs, repair estimates, invoices, and service records can provide valuable information about the vehicle’s condition and the work that was completed.
Be especially cautious if the seller cannot explain what caused the vehicle to receive a salvage title or cannot provide documentation regarding the repairs.
Consider having an experienced mechanic inspect the vehicle before you purchase it.
An independent inspection may identify problems that are not obvious during a test drive or visual inspection. This can be particularly important when a vehicle has previously sustained significant damage.
If the vehicle was involved in a serious crash, ask the mechanic to pay particular attention to structural components, suspension, steering, brakes, airbags, seat belts, electrical systems, and other safety equipment.
Water damage can create problems that are difficult to identify immediately. Flood damaged vehicles may develop electrical, mechanical, corrosion, or mold related problems over time.
If a vehicle has previously been exposed to significant amounts of water, carefully investigate its history and have it thoroughly inspected before purchasing it.
The purchase price is only one part of the cost of owning a vehicle with a salvage or rebuilt title.
Before buying, contact your insurance company and ask whether the vehicle can be insured and what coverage will be available. Some insurers may have restrictions on vehicles with rebuilt titles, while others may offer different coverage options than they would for a vehicle with a clean title.
You should understand your insurance options before completing the purchase.
There is no single factor that can determine whether a rebuilt vehicle is safe. Instead, consider the entire history of the vehicle.
Questions to ask include:
The more information you can obtain before purchasing the vehicle, the better positioned you will be to make an informed decision.
Whether you are driving an older used vehicle or a newer vehicle equipped with the latest safety technology, crashes can happen unexpectedly. When a crash results in serious injuries, determining how and why the collision occurred can be an important part of investigating a personal injury claim.
At Fleschner, Stark, Tanoos & Newlin, our Terre Haute personal injury lawyers help people who have been injured in motor vehicle crashes understand their legal options and pursue compensation for their injuries.
If you or someone you love was injured in a car accident, contact the auto accident lawyers at Fleschner, Stark, Tanoos & Newlin today. We want to help you understand your options and pursue the compensation you may be entitled to receive.
Fleschner, Stark, Tanoos & Newlin
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The financial burden that often comes with a serious injury can be too much for many people to bear. Unexpected medical debt, damaged personal property, and the sudden loss of income can impact the budgets of most families. The good news is that a successful injury claim could help reduce that financial strain after a serious accident. Get in touch with a Terre Haute personal injury lawyer with Fleschner, Stark, Tanoos & Newlin to learn more.
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